FAQs Your Questions ----------------------------------------------------------------------------------------------------------
1. What is forex?
The Foreign Exchange market, also referred to as the "forex" or "FX" market, is the largest financial market in the world, with a daily average turnover of approximately US$1.5 trillion. Foreign Exchange is the simultaneous buying of one currency and selling of another. The world's currencies are on a floating exchange rate and are always traded in pairs, for example Euro/Dollar, Dollar/Yen, Dollar/Franc, Euro/Yen etc. Only the “Majors” or “Hard” currencies are traded with the managed accounts provided through FXMEA.
2. When is the FX market open for trading?
A true 24-hour market, forex trading begins each day in Sydney, and moves around the globe as the business day begins in each financial center, first to Tokyo, then London, and New York. Unlike any other financial market, investors can respond to currency fluctuations caused by economic, social and political events at the time they occur - day or night.
3.Is there a risk?
Yes there is. The common rule of "high yield, high risk" is particularly prevalent. Trading with FOREX can be exceptionally profitable, but subject to risk and therefore it is advisable that risk capital should be used. It is important that you exercise good judgment and invest only what you can afford to lose. Managing risk is one of the principles we will teach you.
4. How do we manage risk?
The most common risk management tools in FX trading are the limit order and the stop loss order. A limit order places restriction on the maximum price to be paid or the minimum price to be received. A stop loss order ensures a particular position is automatically liquidated at a predetermined price in order to limit potential losses should the market move against an investor's position. The liquidity of the forex market ensures that limit order and stop loss orders can be easily executed.
5. How are currency prices determined? Currency prices are affected by a variety of economic and political conditions, most importantly interest rates, inflation and political stability. Moreover, governments sometimes participate in the forex market to influence the value of their currencies, either by flooding the market with their domestic currency in an attempt to lower the price, or conversely buying in order to raise the price. This is known as Central Bank intervention. Any of these factors, as well as large market orders, can cause high volatility in currency prices. However, the size and volume of the forex market makes it impossible for any one entity to "drive" the market for any length of time.
6.What is the minimum amount required to open an account with FXMEA?
$500 is the minimum amount required to open an account with us.
7.What are the advantages of having a managed account? Our account managers have years of experience and focus on the markets that represent the best profitable opportunities for our clients
8.Can I trade my own account? Currently our services are limited providing managed accounts services to our clients. We will offer our own trading platform to our clientele in the future.
9.I´ve traded before and lost money. What can you offer that is different from my previous experience?
There can be a myriad of reasons for losing in the markets. Factors can include but not limited to market timing, positioning, strategy, and other factors. We will help you identify the reasons for your loss and design a strategy within your risk threshold to be profitable with.